In this paper we consider social preferences over intergenerational consumption paths for a continuum of generations. We prove that equal treatment of all generations is incompatible with Mackey continuity of social preferences under mild axioms such as nontriviality and asymmetry. We also show...

This paper investigates dynamic properties of environmental externalities with a framework of voluntary provision of a public good by analyzing the infinite duration dynamic game. We compare the first best solution, the open-loop solution under enforceable commitments, and the closed-loop...

This paper investigates dynamic properties of fiscal reconstruction process by analyzing the infinite duration dynamic game among various interest groups with a framework of voluntary acceptance of tax burden. By comparing the first best solution, the open-loop solution under enforceable...

The central bank of Bhutan issues its currency the ngultrum. At the same time, the Indian rupee circulates within the country with parity This paper investigates the implications of rupee circulation for monetary policy in Bhutan using the money multiplier framework and evaluates the impact of...

In a simple game, coalitions belonging to a given class are supposed to be "absolutely powerful" while others have no power. We attempt to make this distinction operational. Toward this end, we propose two axioms, Exclusion and Strong Non-Discrimination. Strong Non-Discrimination describes...

This paper considers the effects of a proportional consumption tax with the same rate over time on the real growth path of a monetary economy. The analysis uses a variety of stylized monetary growth models in which individual's consumption-saving decision is based on intertemporal utility...